JPMorgan Cuts Japan Stock Targets on Yen Strength, Recession Fears

JPMorgan Chase & Co. has reduced its year-end projections for Japan`s main stock indices due to the rising value of the yen and worries about a potential US recession. This revision follows a similar move by UBS Group AG. Both financial institutions now anticipate more moderate growth for the Topix and Nikkei 225 Stock Average. The revised outlook comes amid market instability sparked by the Bank of Japan`s recent interest rate increase and concerns about the US economy. Despite a recent upswing, both the Nikkei 225 and the Topix are significantly lower than their peak levels from the previous month. JPMorgan and UBS are now suggesting investors focus on sectors linked to domestic demand.